International Brotherhood of Boilermakers became the fourth union to reach agreement with the Union Pacific railroad guaranteeing job security for union members if the company’s merger with Norfolk Southern is approved. The agreement, announced Nov. 18, follows similar agreements with the transportation division of SMART (Sheet Metal, Air, Rail and Transportation Workers), the National Conference of Firemen and Oilers (SEIU 32 BJ); and the Brotherhood of Railway Carmen.
Union Pacific announced in July that it wants to acquire Norfolk Southern for $85 billion. The merger would create the first transcontinental railroad network in the country.
The merger must be approved by the Surface Transportation Board, a federal body appointed by the president. Under merger rules the Board approved in 2001, merging railroads must show that their combination is in the public interest and enhances competition. The two companies are planning to file a formal merger application with the Board on Dec. 19, according to the trade publication Freightwaves.
Transport Workers Union (TWU), which represents some railroad employees at Norfolk Southern, remains opposed to the merger, pointing critically to Union Pacific’s record on safety and history of job cuts.
